December 20, 2006	Wednesday	Ziqa'ad 28, 1427

HONG KONG, Dec 19: Asian stocks slumped on Tuesday, with investors spooked by the worst ever losses in Bangkok where the military government imposed capital controls reminiscent of the 1997 Asian financial crisis.

The controls, aimed at curbing a massive appreciation in the local currency, stunned the region, prompting heavy stock sales in Thailand that wiped about 23 billion US dollars off the market and undermined sentiment elsewhere.

The junta, however, may have overstepped the mark by seeking to rein in the baht with the Thai benchmark index plunging nearly 20.0 per cent after the Stock Exchange of Thailand (SET) reopened following a trading suspension.

Tokyo fell 1.09 per cent, Manila was down 0.98 per cent and Seoul shed 0.38 per cent with dealers saying turbulence in Bangkok had probably dashed hopes for a year-end rally.

TOKYO: Share prices tumbled 1.09 per cent, snapping a six-day rally as accounting scandals at two listed firms and a soft Wall Street overnight soured sentiment.

The mood was also affected by losses in other Asian bourses rubbing off from the chaos on financial markets in Thailand.

The Nikkei-225 slipped 185.23 points to close at 16,776.88. Trading volume rose to 1.72 billion shares from 1.60 billion shares Monday.

HONG KONG: Share prices closed sharply lower, losing 1.19 per cent as investors locked in profits following a crash on the Thai stock market.

Dealers also said there was heavy profit-taking pressure in Chinese insurers after they led the market's gains Monday.

The Hang Seng Index closed down 228.36 points at 18,964.55. Turnover was 54.45 billion Hong Kong dollars (6.98 billion US dollars).

SINGAPORE: Share prices sunk 2.2 per cent, pulled down by dramatic losses in Thailand.

Dealers said regional markets were hit by concerns over the sharp losses in Bangkok following the introduction of stringent restrictions on foreign fund inflows.

The Straits Times Index fell 66.14 points to 2,897.30, pulling back from Monday's all-time high of of 2,963.44. Volume was 1.64 billion shares worth 1.49 billion dollars (968 million US).

KUALA LUMPUR: Share prices closed 1.96 per cent lower on capital control measures announced by Thailand, which triggered a massive sell-off on the Thai stock market.

The composite index closed down 21.24 points at 1,060.36, after falling as much as 35.53 points in the afternoon session. Turnover was 893.39 million shares worth 1.39 billion dollars (397 million dollars).

JAKARTA: Share prices closed 2.85 per cent lower with sentiment jittery after Thai stocks slumped sharply in the wake of the Thai central bank's move to curb foreign capital inflows.

The composite index closed down 50.950 points at 1,736.670. Volume was at 4.28 billion shares worth 3.49 trillion rupiah (385 million dollars).

WELLINGTON: Share prices closed 0.29 per cent lower as activity tapered off ahead of the Christmas holiday period.

The NZX-50 gross index fell 11.39 points to 3,980.49 on turnover worth 126.3 million New Zealand dollars (87.2 million US).

MUMBAI: Share prices closed sharply lower on fears of a tighter monetary policy and a decision by Thailand to restrict foreign currency flows.

The 30-share Mumbai stock exchange Sensex index plunged 349.08 points or 2.54 per cent to 13,382.01 with dealers saying that they expect the market to stabilise in the coming days.—AFP